Europe is awake and showing up at work (for the few not on “Holiday”) – the promised government intervention is pretty obvious, reversing some of what happened in Asia….
– Gold is going back down, but still up $50/oz
– US Treasury interest rates are still going down, suggesting intervention and/or “flight to quality”
– Oil is still on the way down
– the Euro is being kept stable by the ECB (guess) around $1.43
– as predicted by analysts, Italy and Spain’s interest rates tumbled – the European Central Bank announced over the weekend it would buy up the worthless debt to absorb the Italy/Spain problem and make it go away for now – except the ECB doesn’t have the ability to buy up all the debt from its reserves – it’s started its own “QE” process of “Let’s print more Euros and hope nobody cares”.
– Stock indexes are moving back toward neutral – remember I suggested that a default by the US would make the stock market go up, not down. (S&P’s rating change is not a default, but in the same spirit). The Financial Media – TV in particular – are still stuck in the 1950s, when the world didn’t care about US Markets and we didn’t care about Global Markets.
Yea I turned on the TV for a bit this morning, Generally I don’t anymore before work, they were just talking about theverizon strike and how they will make their car payments.
Then they went to see what Simon Cowl is doing these days. Blah Blah Blah
Geithner is generally rated as a a$$ clown.
Like you said, “TV is in 1950’s”.
The folks at the hedge funds and the private equity firms probably are laughing their asses off at how stupid and ill informed the news reporting is these days. They all seem to like the idea of scaring the people on the Titanic to all rush to one side to be sure the ship sinks – it’s great ratings.
The news from Europe is there is no news. The markets haven’t budged a bit. The US market is hinting at a 2% drop at the open, but I doubt that means much.
Germany has some important decisions to make. The rest of the EU is trying to trap them into being the Sugar Daddy of the socialist failures. It’s not a good idea to make Germans made at you.
> ” It’s not a good idea to make Germans mad at you.”
Oh Hell no !
Well, the US Markets are open. Nothing is happening.
Forex rates are relatively stable – the US dollar got a little stronger….. interest rates are basically unchanged…. gold is down a little bit, but basically no change from what the European markets did.
As Glenn Beck just said – “The House always wins”. The markets have everything to do with what the government wants it to do. Market forces no longer apply to the market.